LithiumBank Announces Closing of Upsized Private Placement
LithiumBank raised $5.5m to fund the Boardwalk feasibility study as direct lithium extraction progress remains steady.
LithiumBank Resources Corp. (LBNK) has closed an upsized non-brokered private placement of 9,206,830 units at $0.60 per unit, raising gross proceeds of $5,524,098. Each unit consists of one common share and one non-transferable warrant exercisable at $0.90 for 24 months from the date of issue.
The company paid finder's fees in cash and issued 73,229 finders' warrants exercisable at $0.60 per share for 24 months. Insider subscriptions accounted for approximately 3.9% of the total proceeds, totaling $217,800.
Net proceeds are designated for the completion of a feasibility study at the Boardwalk Lithium Brine Project and general working capital. The offering is subject to TSX Venture Exchange approval and carries a four-month hold period under Canadian securities laws.
LithiumBank Resources Corp. (LBNK) closed its financing as a direct follow-up to the announcement made on August 27, aligning with the May 28 initiation of the Boardwalk feasibility study. The transaction was upsized from 9,000,000 to 9,206,830 units, reflecting modest investor demand while maintaining the fundamental use of proceeds and project timeline.
The shares were issued at $0.60, a price consistent with recent trading levels and prior financings. The deal includes warrants with a $0.90 exercise price, a structure standard for pre-revenue exploration-stage companies. This financing secures the necessary runway to complete the feasibility study and cover working capital, supporting the company's de-risking strategy. The news is considered expected and incremental, confirming the company's path toward commercial development without introducing new strategic shifts.
LithiumBank Resources Corp. (LBNK) is a pre-revenue lithium brine explorer focused on the Boardwalk and Park Place projects in Alberta, Canada. The company holds approximately 1.24 million acres of mineral licenses across Alberta and Saskatchewan, with no overlapping pore space or carbon sequestration permits.
The Boardwalk project contains 5.2 million tonnes of lithium carbonate equivalent (LCE) in the measured and indicated category at a grade of 81.6 mg/L Li, and 2.8 million tonnes of LCE in the inferred category at 79.0 mg/L Li. The Park Place project holds 15.1 million tonnes of LCE in the inferred category at 80.0 mg/L Li.
LithiumBank is advancing a modular Direct Lithium Extraction (DLE) approach in partnership with SLB, targeting an initial production of 10,000 tonnes per annum (tpa) of LCE. A $3.9 million non-dilutive grant from Emissions Reduction Alberta (ERA) supports milestone completion for the project.